Type 85 submachine gun has been developed during early 1980s as a less expensive replacement for Type 79 submachine gun; silenced version of the same weapon was developed to replace Type64 silenced submachine guns then in service with PLA. Both weapons were offered for export sales, as well as used by domestic police and military units.

Type85 submachine gun is a simple blowback weapon that fires from open bolt. It uses tubular receiver made from steel; long silencer tube is also made from steel. Safety / fire mode selector lever is located at the right side of the trigger unit, above the trigger guard, and allows for single shots and full automatic fire. Type 85 silenced SMG is optimized for special 7.62x25mm type 64 ammunition with heavy, subsonic bullet, but also can fire standard 7.62mm Type 51 /7.62x25 mm TT ammunition (with increased sound level). Gun is fed using same 30-round box magazines as Type 64 SMG. Shoulder stock is made from steel and folds to the right when not in use.